Slow-moving stock is inventory that sells more slowly than you expected for that product or season. It is not automatically obsolete: an occasional item may still matter to customers, while an expired or outdated item may no longer be useful. Compare an item's stock and sales over a period that fits its normal buying cycle instead of applying one rule to every product.
What does SLOB stock mean?
SLOB is shorthand for slow-moving and obsolete stock. Slow-moving products still sell, but at a lower rate than expected. Obsolete stock is excess or dead inventory that may have reached the end of its life cycle. Inventory systems use different measures to classify these items; for example, Oracle's inventory reporting bases slow-moving classification on a configurable annual usage percentage. See Oracle's inventory metric definitions for its example classifications.
How to identify slow-moving inventory
- Choose a useful review period. Use a period that covers the product's normal reorder cycle. Extend it for seasonal goods or products customers buy occasionally.
- Compare similar items. Review units sold, stock on hand, and the time since the last sale. Compare products with similar prices, shelf lives, and demand patterns.
- Check the reason for slow sales. Consider seasonality, a recent price change, low visibility, a product replacement, expiry dates, and whether the item supports other sales.
- Choose a measured response. Reduce the next purchase, test a clearly explained promotion, or keep the item if customers still need it. Check the margin and result before making a larger change.
There is no single monthly sales threshold that fits every business. A new product, a seasonal product, and an everyday staple should not be judged by the same time window. A quiet month can prompt a review, but it does not prove an item is obsolete.
Keep stock decisions connected to records
Review stock quantities, inventory activity, and stock value alongside sales records. Your free SokoWise plan includes inventory tools, POS, and your online store, so you can keep product and stock work in one business account. See SokoWise Inventory Management and the free plan details.